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Hi-tech Exports up But Profitability Remains Low

China's hi-tech exports increased by more than 50 percent in the first half of this year over the same period last year. However, experts caution against over-optimism, as the high volume increase was not accompanied by high profitability.

Statistics show the total export value of Chinese hi-tech products at over US$44 billion, 21 percent above the increase level of Chinese exports in total. Yet nearly 90 percent of the hi-tech exports were from the processing trade, valued at about US$39.4 billion.

 

Much of the profit goes to the many overseas-invested enterprises which are attracted by the low labor costs, and have relocated their production and processing bases to China since the country became a WTO member.

 

Economists say the rapid growth also exposes the weakness of China's hi-tech export structure, calling for more efforts on the research and development of core technologies.

 

(CCTV.com July 23, 2003)

  

Global Focus on High-tech Event
Hi-tech Export to Recover in 3 Months: Official
6th Beijing Int'l High-tech Expo Scheduled for September
Hi-Tech Trade Hits US$77.89 Billion
Hi-tech Imports and Exports Experience Fast Growth
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